How JustAnswer Works:
  • Ask an Expert
    Experts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional Answer
    Via email, text message, or notification as you wait on our site.
    Ask follow up questions if you need to.
  • 100% Satisfaction Guarantee
    Rate the answer you receive.
Ask Dimitry K., Esq. Your Own Question
Dimitry K., Esq.
Dimitry K., Esq., Attorney
Category: Legal
Satisfied Customers: 41221
Experience:  Multiple jurisdictions, specialize in business/contract disputes, estate creation and administration.
18572087
Type Your Legal Question Here...
Dimitry K., Esq. is online now
A new question is answered every 9 seconds

Car Insurance Claim Denied: I rented out my car and it got

This answer was rated:

Car Insurance Claim Denied: I rented out my car and it got stolen. They say that when I signed up for insurance, if they had known it was going to be rented they wouldn't have covered it. They knew that the vehicle was for business and registered in the company name. When getting the insurance, they asked several questions such as, are you hauling anything and other questions that I honestly answered that had nothing to do with renting out the vehicle. There is nothing in their contract that states that it can't be rented. The reason they say they denied the claim is for misrepresentation by not informing them that it was going to be rented.

1) Do I have any chance of successfully perusing this in some way?

2) How would I go about doing it and is there a special type of attorney?

3) They strung me along for 6 weeks deciding if it will be covered or not and made it seam hopeful. I don't see why they needed to do this when it should be an easy answer from the start if the reason was that it was rented. I told them this from the beginning of the claim.

Please answer the questions and let me know any creative or best way to go after this. Please help!!! Thanks
Dealing with Geico
Thank you for your post. Please allow me to assist you. I believe I helped you out with this question before. Would you like me to provide you with my thoughts, or are you seeking a diffrent opinion?
Customer: replied 3 years ago.

yes please help, even if you think there is a slim chance, I would like to know the best way to move forward. Thanks you

Tim,

Thank you for your follow-up. Not a problem, I just wanted to give you that option since I did not really give you positive news in the past, and unfortunately based on your current post my fears were realized as predicted. Please allow me to go down the list with your full post.

You posted:
Car Insurance Claim Denied: I rented out my car and it got stolen. They say that when I signed up for insurance, if they had known it was going to be rented they wouldn't have covered it. They knew that the vehicle was for business and registered in the company name. When getting the insurance, they asked several questions such as, are you hauling anything and other questions that I honestly answered that had nothing to do with renting out the vehicle. There is nothing in their contract that states that it can't be rented.
My apologies but that is somewhat irrelevant. If you signed up for personal insurance when you were expecting to use the vehicle for a commercial purpose, that had to be disclosed to the insurer.

The reason they say they denied the claim is for misrepresentation by not informing them that it was going to be rented.
They are legally correct. There are two major types of insurance policies, personal and commercial. Renting a vehicle and using it for profit turns it into a commercial policy that had to have been disclosed.

1) Do I have any chance of successfully perusing this in some way?
I apologize but on the language you have no chance of prevailing. The insurance policy is right, the only recourse is against the thief for value of your vehicle.

2) How would I go about doing it and is there a special type of attorney?
You can try to find a contract law attorney and have him review the language, then potentially sue for breach of contract. But your chances of winning, are very very very slim. Sorry but I have to be realistic.

3) They strung me along for 6 weeks deciding if it will be covered or not and made it seam hopeful. I don't see why they needed to do this when it should be an easy answer from the start if the reason was that it was rented. I told them this from the beginning of the claim.
It is not always an easy answer They needed to evaluate your policy and figure out if that would constitute substantial use. I am positive they spoke with their own legal department before giving you an answer. But the answer they gave you is unfortunately the same one I expected in the past.

Hope that helps.

Dimitry K., Esq. and 10 other Legal Specialists are ready to help you